Working with a developer, advice needed. Exclusive listing rights?
Ok fellow BP agents/members, I am looking for some insight and advice on how to handle this situation. This could be my chance to really go fulltime into RE all together. I have come in contact with a local developer that has just been approved for a high end development. It will consist of 80 houses and they will start breaking ground this fall/winter and start building next spring. We have had some preliminary discussions on allowing me to list some or have exclusive rights to list all properties. He didn’t seem to have any issue allowing it if we could work out a financial arrangement. I plan to take this gentleman out to dinner soon to discuss the details even more but would like some advice on how to get this locked up in a contract of some type.
Here are some details that may help.
-The average sale price will between $350-650K depending on location, let’s use $500K for an average. ($500K multiplied by 80 is $40 million in real estate over the life of the development).
-I work for a flat rate broker and can discount my commission percentage to whatever I want.
-The development is in a hot and growing area and the price point should be acceptable per the market.
This developer is also a licensed agent but flat old told me he won’t list these as he won’t have time. He knows some agents can be flexible on their commissions and that is what he is looking for. I know this isn’t his first rodeo and there is no way I can get exclusive rights at 4 or even 3% listing commission.
What would you do if you were in my shoes?